This article aims to analyse some of the possibilities and barriers that local communities face in promoting endogenous industrial development in an increasingly globalised economy. The analysis is based on the view that regionalisation is an important aspect of the globalisation trend and, therefore, a crucial economic trend in the international economy. In the second section, some theoretical issues are introduced and some policy background and dilemmas set out.

This paper addresses four questions: · What lessons can be drawn from the "rise and decline" of NARS in Africa? · What can African research managers learn from some of the successful reforms of NARS in Asia and Latin America over the past 10 to 15 years? · What are the major challenges facing the NARS in the ASARECA region in the coming 10-20 years? · What are the critical reforms and the incentives needed to develop pluralistic, accountable, productive and financially self-sustaining NARS in AFRICA?